Excelerate Energy Q2 Earnings Call Highlights

Key Points

• Excelerate Energy raised its 2026 outlook, reporting $50 million in second-quarter net income and $120 million in adjusted EBITDA. Full-year adjusted EBITDA guidance increased to $490 million–$515 million.
• The company advanced several LNG infrastructure projects: the Excelerate Acadia began operations in Jordan, the FSR Express is scheduled for Colombia in early 2027, and the Iraq terminal is now expected to start operations in the second quarter of 2027.
• Excelerate is moving forward with its first FSRU conversion after agreeing to purchase the Methane Patricia Camila for about $79 million. The company also raised growth-capital guidance, increased its quarterly dividend by roughly 13% to $0.09 per share, and repurchased approximately 693,000 shares.

Excelerate Energy NYSE: EE reported second-quarter 2026 net income of $50 million and adjusted EBITDA of $120 million, as the company advanced LNG infrastructure projects in Jordan, Colombia, Iraq and the Caribbean.

Adjusted EBITDA was roughly modestly lower than the first quarter but increased 12% from the year-earlier period, primarily reflecting a full-quarter contribution from the company’s Jamaica platform, Chief Financial Officer Dana Armstrong said. The company raised and narrowed its full-year adjusted EBITDA outlook to $490 million to $515 million.

President and CEO Steven Kobos said the company sees a favorable long-term market backdrop as new global LNG supply comes online and requires downstream infrastructure to reach importing markets. Excelerate operates floating storage and regasification units, or FSRUs, and is pursuing both vessel charter opportunities and more integrated projects involving LNG supply and downstream infrastructure.

Acadia Deployment Supports 2026 Results

Excelerate’s newest floating regasification terminal, the Excelerate Acadia, was delivered in April ahead of schedule and on budget, Kobos said. The vessel had originally been intended for deployment in Iraq during the summer, but the company arranged an interim assignment after the onset of conflict in the Middle East.

In May, Excelerate signed a nine-month charter with Jordan’s National Electric Power Company to deploy the Acadia at the existing LNG import terminal in Aqaba. Operations started in July, and the charter is expected to contribute about $20 million of EBITDA in 2026, according to Kobos.

The company also signed a long-term agreement in June with a subsidiary of Frontera Energy Corp. to redeploy the FSR Express to an LNG import terminal being developed on Colombia’s Caribbean coast. The agreement carries an initial seven-year term and multiple extension options.

After its current charter and a planned dry dock later in 2026, the Express is expected to begin Colombian operations in early 2027. Kobos said the new contract is expected to raise the vessel’s annual EBITDA contribution by about 35% compared with its current contract.

Iraq Project Now Expected to Start in Second Quarter 2027

Excelerate continues to develop Iraq’s first LNG import terminal under an agreement executed in October 2025 with a subsidiary of the country’s Ministry of Electricity. The project includes a five-year agreement for regasification services and LNG supply, extension options, and minimum contracted offtake of 250 million standard cubic feet per day.

The company said it has continued engineering, procurement, site clearance and dredging work while adapting project plans to regional conditions. Materials for the terminal have been staged globally and are being mobilized according to construction priorities.

Excelerate now expects terminal operations to begin early in the second quarter of 2027. Chief Operating Officer David Liner said the company has maintained personnel in Iraq since late 2025 and remains in contact with local and U.S. government officials and regional security forces.

“The fundamentals of the project are even more compelling now than they were prior to the conflict,” Liner said during the call.

FSRU Conversion Moves Forward

In July, Excelerate entered an agreement to buy the Methane Patricia Camila LNG carrier for approximately $79 million. The vessel will serve as the dedicated asset for the company’s first FSRU conversion project and is expected to be available for commercial deployment in early 2028.

Kobos said the company selected the vessel over the Shenandoah LNG carrier because of its 170,000-cubic-meter storage capacity, tri-fuel diesel electric power generation and installed reliquefaction equipment. The characteristics are expected to support higher-capability operations and expand the types of projects the converted vessel can serve.

Liner said the company has ordered the regasification equipment and is pursuing definitive agreements with Seatrium Shipyard. Excelerate expects to take control of the vessel in January 2027.

Armstrong said the conversion project’s capital cost will be above the previously communicated approximate $200 million level due to the capabilities of the Methane Patricia Camila. However, the company still expects returns in the previously discussed range. Excelerate generally targets unlevered after-tax returns in the low double digits to mid-teens, with more integrated projects typically offering higher returns than traditional vessel charters.

Capital Spending, Balance Sheet and Shareholder Returns

Second-quarter maintenance capital expenditures totaled $14 million, while committed growth capital spending was $241 million, including the final Acadia payment made in April.

At June 30, total debt, including finance leases, stood at $1.2 billion. Excelerate held $342 million of cash and cash equivalents and had the full $500 million available under its revolving credit facility. Net debt was $898 million, and trailing net leverage was 1.9 times.

• Full-year 2026 adjusted EBITDA guidance was raised to $490 million to $515 million.
• Committed growth capital guidance was raised to $380 million to $400 million, partly reflecting Iraq project costs pulled into 2026 and conversion-project equipment payments.
• Maintenance capital expenditure guidance was reduced to $85 million to $95 million following the expected deferral of the FSRU Exquisite dry dock into 2027.
• The board approved a quarterly Class A common-stock dividend of $0.09 per share, up about 13% from the prior quarter.
• The dividend is payable Sept. 3 to shareholders of record as of Aug. 19.
• During the quarter, the company repurchased about 693,000 Class A shares for approximately $24 million, at a weighted average price of $33.93 per share.

Management also pointed to continued commercial activity surrounding the Jamaica platform, including LNG deliveries beyond Jamaica to other Caribbean destinations. Chief Commercial Officer Oliver Simpson said the company expects to provide additional updates on longer-term Caribbean opportunities during 2026.

About Excelerate Energy (NYSE:EE)

Excelerate Energy NYSE: EE is a Houston‐based energy infrastructure company specializing in liquefied natural gas (LNG) solutions. The company develops, owns and operates floating regasification units (FSRUs) that convert shipped LNG into natural gas for delivery into existing pipeline networks. Excelerate Energy's integrated platform also includes specialized LNG carriers, proprietary regasification technology and on‐shore support facilities, enabling rapid deployment of import terminals without extensive capital construction.

Founded in the early 2000s, Excelerate Energy pioneered the first FSRU in 2007, demonstrating the flexibility and cost advantages of floating LNG import infrastructure.

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